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The Extension Letter serves as a crucial document in Canadian business practice for extending the term of existing contractual relationships without the need for a complete contract renewal. This document type is particularly useful when parties wish to maintain their current contractual arrangement but need to adjust the duration. The Extension Letter must comply with Canadian federal and provincial contract laws, including requirements for written modifications and electronic commerce regulations where applicable. It typically includes clear reference to the original agreement, specific extension terms, and confirmation of unchanged conditions. This approach offers a more efficient alternative to drafting a new agreement while maintaining legal certainty and enforceability.

1. Letter Header: Includes date, recipient's name and address, and reference line identifying the original agreement

2. Opening Salutation: Formal greeting to the appropriate party representative

3. Reference to Original Agreement: Clear identification of the agreement being extended, including its original date and parties

4. Extension Terms: Specific details of the extension period and any modified terms

5. Confirmation of Other Terms: Statement confirming all other terms and conditions of the original agreement remain unchanged

6. Execution Requirements: Instructions for countersigning and returning the letter if agreement is required

7. Closing and Signature Block: Formal closing, signature lines for authorized representatives of both parties